Monday, May 5, 2008

Workforce Performance Management Market Still Maturing and Still Hot with Revenues Expected to Reach $2.5 Billion by 2012

IDC is forecasting that the market for workforce performance management (WPM) software and services will reach $2.55 billion by 2012, increasing at a compound annual growth rate (CAGR) of 10.1%. Consulting services still make up the largest share of spending given the complexity organizations face when redesigning performance management for strategic advantage. Although the performance management market is maturing with some standardization emerging in terms of vendor offerings, it remains a relatively new market with ample room for growth and innovation.

Other key trends examined in this IDC report include:

--Popularity of the software as a service (SaaS) model is growing and surveyed vendors report that on average, 82% of their performance management implementations are delivered via SaaS.

--Performance management still has the highest buyer interest of the talent management offerings while many vendors are reporting buyer interest in integrated talent management even if buyers are not yet in a position to implement all functions simultaneously.

--Vendors are advised to pay special attention to the various client constituencies served. There needs to be something in it for everyone, especially the employees, if a project is to be successful.


More information on the service and support industry can be found at www.SupportIndustry.com

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